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Anna71 [15]
3 years ago
5

Consider the following information for three stocks, A, B, and C. The stocks' returns are positively but not perfectly positivel

y correlated with one another, i.e., the correlations are all between 0 and 1. Expected Standard Stock Return Deviation Beta A 10% 20% 1.0, B 10% 10% 1.0, C 12% 12% 1.4
Portfolio AB has half of its funds invested in Stock A and half in Stock B. Portfolio ABC has one third of its funds invested in each of the three stocks. Which of the following statements is CORRECT?
a) Portfolio ABC's expected return is 10.66667%.
b) Portfolio AB has a standard deviation of 20%.
c) Portfolio ABC has a standard deviation of 20%.
d) Portfolio AB's required return is greater than the required return on Stock A.
e) Portfolio AB's coefficient of variation is greater than 2.0.
Business
1 answer:
Dmitry_Shevchenko [17]3 years ago
5 0

Answer:

a) Portfolio ABC's expected return is 10.66667%

Explanation:

The expected return is based on the risk factor of a project. If a project has higher risk its rate of return will be higher. Portfolio ABC has one third of its funds invested in each stock. The return of on A and B are 20% and 10%. Their beta is 1.0 for both the stocks while stock C has beta 1.4. The portfolio expected return will be 10.66667%.

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A company in monopolistic opposition produces an allocatively green output degree even as a company in best opposition produces a productively green output degree.

The long-run equilibrium answer in monopolistic opposition usually produces 0 monetary income at a factor to the left of the minimal of the common overall value curve. The life of excessive limitations to access prevents corporations from coming into the marketplace even withinside the long run.  

Therefore, it's far viable for the monopolist to keep away from opposition and hold making tremendous monetary income withinside the long run. One feature of a monopolist is that it's far a income maximizer. Since there's no opposition in a monopolistic marketplace, a monopolist can manage the charge and the amount demanded. The degree of output that maximizes a monopoly's income is calculated through equating its marginal value to its marginal revenue.

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Molly still has a $2500 down payment. How much loan does Molly need?
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A company purchased new furniture at a cost of $19,000 on September 30. The furniture is estimated to have a useful life of 5 ye
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A. polychronic

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Polychronic cultures like to do multiple things at the same time. A manager's office in a polychronic culture typically has an open door, a ringing phone and a meeting all going on at the same time. Though they can be easily distracted they also tend to manage interruptions well with a willingness to change plans often and easily. People are their main concern (particularly those closely related to them or their function) and they have a tendency to build lifetime relationships. Issues such as promptness are firmly based on the relationship rather than the task and objectives are more like desirable outcomes than must do's.

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